North Sea firms under pressure to cut decommissioning costs
Closer collaboration is essential to drive down the price tag for dismantling infrastructure, the UK's regulator says
The Oil and Gas Authority (OGA) says the industry must reduce decommissioning costs in the North Sea by at least 35% from forecast levels to below £39bn, but achieving that target will not be easy. In its 2017 Cost Estimate Report for UK continental shelf (UKCS) decommissioning, the regulatory body has produced a cost estimate, based on 2016 prices, ranging from ($57.74bn) £44.5bn (P10) to £82.7bn (P90), with a P50 figure-or mid-point in terms of probability-of £59.7bn. The range of figures reflects the high degree of uncertainty in submissions provided by operators to the OGA, especially for decommissioning work likely to occur after 2025. The mid-point of £59.7bn is higher than figures t
Also in this section
10 December 2024
Sector at economic and strategic crossroads, but clear path ahead for midstream additions
30 November 2024
Decades of turmoil have left Iraq’s vast energy potential underutilised, but renewed investment and strategic reforms are transforming it into a key player in the region
29 November 2024
The country's fifth and sixth oil and gas bid rounds have attracted a range of new players with gas as well as oil ambitions—and there’s a seismic shift in the contracting process
28 November 2024
Iraq is charting a new path for its indigenous resources and its youth, hoping to electrify the future with a mix of reforms and modernisation to fuel growth
